What does an individual investor—holding a financial mix that might include IRAs, 401ks, mutual funds, individual stocks, and annuities—do in an unclear financial climate?
A climate where the Dow Jones Industrial Average hit 50,000 for the first time on February 6, taking the S&P 500 and Nasdaq up with it. Consumer sentiment has moved higher, but layoffs continue in some industries, and prices remain high. Even AI, which looked unstoppable, has retreated. And a leading financial pundit has pronounced that “crypto is dead.”
Scott Efrusy, graduated from Lawrence Technological University’s College of Business and IT in 2023 with a BS in business administration and a concentration in finance, has a simple, direct answer: Ignore the noise!
Seasoned by Experience
Efrusy is a Certified Financial Planner (CFP) with Horizon Advisers of Plymouth, Michigan. He readily acknowledges the effect of the “media bombardment” of the changing economic and geopolitical news. But setting aside the “noise” and static from these developments is a crucial first step for an individual to craft a long-term financial plan that aligns with personal goals and lifestyle aspirations.
Efrusy has been watching the financial markets long enough to not be easily rattled. The son of a CPA who later went into corporate finance, Efrusy became interested in the stock market very young and began managing money at age 15. He saw investing early on as a way to put money to work, which otherwise would be sitting.
With a desire to remain in southeastern Michigan coupled with his early interest of seeing results from applying financial principles (theory and practice), Efrusy naturally gravitated to Lawrence Tech for his undergraduate studies. LTU “had feeling”—he liked the professors, staff, and the campus. He recognized LTU “would have the resources” to help him do what he wanted to do.
An Opportunity That Became a Career
LTU opened another door for Efrusy. During his sophomore year, he landed an internship at Horizon Advisers of Plymouth, Michigan. He worked remotely for the company and began an affiliation, which he has had ever since. The Horizon experience further developed Efrusy’s interest in the range of investment options. He wanted to learn more about the capital markets and then became interested in “other stuff” beyond the stock market, moving in the direction of wealth management.
Along with his degree work, Efrusy decided to take on the additional rigor of studying for the CFP designation. This hard-earned certificate is awarded only after obtaining an undergraduate degree, completing 4,000 hours of “apprenticeship” experience in financial planning, and passing an exam. Building on his LTU studies, Efrusy won the CFP designation. Armed with this nationally-recognized credential, he has been able to bring his clients and firm “another level of knowledge” in financial options and directions.
Now an analyst at Horizon, Efrusy moved more into the background, doing modeling, forecasting, and reviewing the firm’s allocation. He assembles the internal quarterly review of holdings for the investment committee, is actively involved in implementing strategies, and occasionally dabbles in digital marketing by working with his colleagues at their on-site studio to create investing videos for YouTube, Linkedin, and other channels.
So what does this LTU finance graduate see for the turbulent months ahead? Efrusy finds the equity markets to be overvalued and inflated. A correction may be coming, but perhaps not for a year. But whatever developments come along to shake the markets, his admonition remains: ignore the noise!
By: Peter Hollinshead
